The UK government has urged Scotland’s new first minister Humza Yousaf to postpone the August rollout of the UK’s first deposit return scheme, and agree to work on a joint rollout instead, though not until at least October 2025.
Environment secretary Thérèse Coffey told MPs yesterday she hoped Yousaf, who has already said he plans to delay key elements of the rollout, could be persuaded to abandon the 16 August deadline.
The move comes with the two governments locked in a battle over DRS, with Westminster threatening to block the plans using rules on the internal market, over fears they will heap more pressure on inflation.
In January, Defra announced DRS would not be rolled out in England, Wales and Northern Ireland until October 2025.
Meanwhile, the Scottish government and scheme administrator Circularity Scotland have faced a series of setbacks and been forced into a number of climbdowns and rethinks.
“I still think there is an opportunity for a GB or even UK-wide scheme,” Coffey told MPs on the Efra Committee yesterday.
Westminster has threatened to refuse a request from Holyrood for an exemption to DRS from rules of the internal market, which could see the two governments landed in another high-profile court battle.
But Coffey said: “We are going through that request but there is an issue of understanding from the new FM whether he wishes to continue that request.
“I think the consumers and industry would love a GB-wide scheme, that is still open to the Scottish government if they wish to join that.
“I’m conscious the cost concerns that people have raised on the price of goods in Scotland is something which I think they will have to consider very carefully.
“The best outcome is if we could have one scheme.”
During the leadership election, Yousaf signalled he would allow a one-year exemption to the scheme for smaller producers, after his rival Kate Forbes, who yesterday turned down the role of being Scotland’s food minister, warned DRS risked causing “financial carnage” for small drinks companies.
The move comes with huge divisions in the industry over the future of the scheme, as well as in government.
Yesterday, a raft of major drinks producers called on Yousaf to commit to introducing DRS in August or risk seeing more than £100m of investment go down the drain.
Companies including AG Barr, Britvic and Coca-Cola urged the new leader to make the scheme a “top priority” after he was announced as the new SNP leader.
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